TaxTMI 
TaxTMI 
2025 (8) TMI 40
X X X X Extracts X X X X
X X X X Extracts X X X X
....rred as "the Ld. CIT(A)") under Section 250 of the Income Tax Act, 1961 ( hereinafter referred as "the Act") arising out of order dated 05.03.2016 of the Assistant Commissioner of Income Tax, Circle-6(1), New Delhi (hereinafter referred as "Ld. AO") under Section 143(3) of the Act for assessment year 2013-14. 2. Brief facts of case are that assessee company filed its return on 30.09.2013 declaring an income of Rs. 5,11,66,664/-. Notice under Section 143(2) of the Act dated 02.09.2014 was served on assessee company selecting the case for scrutiny. Notices under Section 142(1) of the Act along with questionnaire dated 17.08.2015 and 30.11.2015 were served upon assessee. Shri Rakesh Seth, General Manager (Taxation) AR appeared and filed nec....
X X X X Extracts X X X X
X X X X Extracts X X X X
....st described as "loss of profit/cost" in the 'Agreement to Sell'. 2. The appellant craves leave for reserving the right to amend, modify, alter, add or forgo any ground(s) of appeal at any time before or during the hearing of this appeal." 5. The grounds raised by the Assessee in CO No.94/Del/2023 are as under: "1. That on the facts of the case and in law, the appeal filed by DCIT Circle 4 (2) on 30.03.2021 against the CIT (A) order dated 22.10.2020 is a time barred appeal which is to be dismissed since not filed within stipulated period of 60 days from the date of receipt of the Appellate order. 2. That on the facts of the case and in law CIT (A) - 2 order as well as the order of ACIT Circle-6(1) u/s 143 (3) a....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... much within the meaning of section 129 of the IT Act which says that "Whenever in respect of any proceedings under this Act an income Tax authority ceases to exercise jurisdiction and is succeeded by any another who has and exercises jurisdiction, the income tax authority so succeeding may continue the proceeding from the stage at which the proceeding was left by his predecessor". 6.1. The above argument is supported by Hon'ble SC in the case of DCIT VS Mastech Technologies P Ltd dated. 3.11.2022 in Civil Appeal No.8077 of 2022. The intention of the assessee may be apparently mala fide in not responding to the statutory notices within time with an intent to avoid the timely transfer of the case to his jurisdictional AO and in not ra....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... appellant's own case under para 4.1 at internal Pg. 32 has also relied upon the decision of CIT(A)-24 in order dated 20.11.2016 in the case of SA Developers Pvt. Ltd. - Appeal No. 75/2015-16-AY2013-14 wherein similar addition on account of additional interest on loans granted to same borrower M/s Oris Infrastructure Pvt. Ltd. was deleted. The above decision is also accepted by the IT department. No appeal is filed against the said order of CIT(A). 1.3 Ld. CIT (A) -2 while dealing with the instant case has discussed the issue under para 5&6 of the appellate order on page 6 to 8 and has accepted the contentions of the appellant that: a) No additional interest was received or accrued to the appellant. b....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... 1.3 In support of our submissions, we rely upon copies of case laws attached at Pg. No. 42 to 87 of Case Law Paper Book and Case Laws referred under Sr. No. (i) to (vi) at Sr. No. B(6) of Case Law Paper Book. 9. From examination of record in light of aforesaid rival contentions, it is crystal clear that Ld. AO in order dated 05.03.2016 in para 3.15 has stated as under: "3.15 Therefore, an amount of Rs. 5,48,79,565/- is hereby added to the income of the assessee for additional interest earned by it on secured loans given as computed above. In the details given by the assessee vide its letter dated 8.10.2015, from which the above additions for income on account of additional interest has been computed, shows income from int....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ing of another event i.e. rescinding of the contract. Admittedly, the AO has not brought on record any evidence which will go on to prove either of the two events. No evidence or documents have been brought on record by the AO to buttress his presumptions in this respect. It is an admitted fact that such a practice is followed by entities engaged in this line of business. This provides them with security with respect to amount advanced. It is generally in the nature of a collateral. 6.2 The affidavit furnished by the M/s Orris Infrastructure Pvt. Ltd. which was forwarded to the AO, is also categorical in the rate of interest paid. The AO at the stage of remand proceedings could have also undertaken necessary exercise to collect evi....